Who gains from saving nature
Ledger 1 : 33 — For each dollar financing nature-based solutions in 2023, about $33 financed activities harmful to nature. (UNEP)
Cases / Wind, hydro and other renewables · United Kingdom · 2012–2026

EU woody biomass and Enviva pellets

Nature's voice · report
No measurement of the harm done to me here is on record.
Did nature suffer? Not measured. Disputed
What the record lacks: 5 insufficient · 1 not measured · 4 disputed See the gaps
Accounts of the harm differ
Is burning wood pellets for power a renewable, low-carbon source?
  • Researchers More than 500 scientists: Burning wood initially emits two to three times more carbon per kilowatt-hour than fossil fuels, and the emissions are not counted under the EU rule. Mongabay
  • Standard-setters and registries EU and UK carbon accounting: Biomass has a zero emission factor.
  • International bodies IRENA: Defines renewable energy as energy produced sustainably from renewable sources, with bioenergy listed first and no measure of sustainability.
  • Communities and civil society WWF Central and Eastern Europe: The revised directive continues to allow the burning of trees for energy. WWF Central and Eastern Europe
  • Company or project Confederation of European Forest Owners: Said the worst provisions were avoided in the RED III negotiations, though implementation could be challenging. Confederation of European Forest Owners
Do Drax’s pellets come from old-growth forest?
  • Press and investigations BBC Panorama (via NRDC): Reported that Drax’s subsidiary Pinnacle held logging licences in British Columbia areas that include old-growth forest. NRDC
  • Company or project Drax: Said it used only sawdust and waste wood. NRDC

In the EU, wood pellets count towards renewable-energy targets, and the UK emissions trading system applies the EU rule that biomass has a zero emission factor. The UK power station Drax received £8.72 billion in subsidy in 2012–2025, and its US pellet supplier Enviva went through bankruptcy in 2024.

£8.72 bnUK subsidy received by Drax, 2012–2025
Ember, July 2026; £999 million of it in 2025.

Status As of July 2026: Drax received a record £999 million in UK subsidy in 2025; Enviva emerged from bankruptcy in December 2024; wood biomass remains counted as renewable under EU rules.

What?
The EU counts wood burned for power as renewable and the UK applies a zero emission factor to biomass; Drax received £8.72 billion in UK subsidy in 2012–2025, and its pellet supplier Enviva went bankrupt in 2024 and emerged in December. Ember
Where?
United Kingdom (Drax); North Carolina and Mississippi, United States, and British Columbia, Canada (pellet supply). Ember
When?
Subsidy period 2012–2025; EU directives 2018–2023; Enviva bankruptcy April 2024. Ember
Who?
Gained
  • Drax — £8.72 billion in UK subsidy since 2012, including £999 million in 2025 Ember
  • Enviva and its customers in Japan, the UK and the EU — Long-term pellet supply contracts; about $1.0 billion of debt eliminated in restructuring BusinessWire (Enviva)
Lost
  • UK electricity bill payers — Fund the subsidy, about £13 per household per year in 2025 Ember
Harmed
  • Residents of Northampton County, North Carolina — Reported dust, noise and health problems from a pellet plant (op-ed account) DeSmog
Why?
EU and UK rules treat wood biomass as renewable with a zero emission factor, which allows it to count towards renewable-energy targets and to receive support.
How?
Wood pellets, produced in North America, are shipped to the UK and burned for power; the emissions are not counted under the EU rule. Ember
In proportion Drax’s £25 million payment in 2024 equals about 0.29% of the £8.72 billion subsidy received in 2012–2025 (calculated for this record; the two amounts cover different periods). Express & Star (PA)
6 of 6 questions answered from the record

What happened

The record, in order.

EU rules count wood burned for power towards renewable-energy targets. In January 2018 650 to 800 scientists (sources differ) asked the European Parliament to limit renewable forest biomass to residues and waste; Parliament did not accept the change and the second Renewable Energy Directive allowed whole trees to be burned. In February 2021 more than 500 scientists wrote to five world leaders saying that burning wood initially emits two to three times more carbon per kilowatt-hour than fossil fuels and that the emissions are not counted under the EU rule. The third directive (RED III, April 2023) dropped a Parliament proposal to cap primary wood, allowed an exception for cascading use, and banned direct support for certain categories of valuable wood but not tax advantages. The UK emissions trading system uses the EU rule that biomass has a zero emission factor.

Ember reported in July 2026 that the UK power station Drax received a record £999 million in subsidy in 2025, about £13 per household per year, and £8.72 billion since 2012. Drax emitted 14.1 million tonnes of carbon dioxide equivalent in 2025, more than four times the second-largest source in the UK, the Pembroke gas plant, and burned 7.5 million tonnes of wood, of which more than 99% was imported and 86.7% came from the United States and Canada.

Enviva, a US producer of wood pellets, supplied customers in Japan, the UK and the EU under long-term contracts. Coverage of the February 2021 scientists’ letter cited an estimate that Enviva turned about 60,000 acres (243 km²) of forest in North Carolina into pellets each year, about 2.5 million tonnes. Mongabay reported in April 2024 that Enviva had gone bankrupt, that there were allegations that whole trees were used, and that it had supplied about 15% of Drax’s fuel. Enviva announced its emergence from the restructuring on 6 December 2024; about $1.0 billion of debt was eliminated and $250 million of new capital was added.

In October 2022 the BBC programme Panorama reported that Pinnacle, a pellet producer Drax bought in 2021, held logging licences in areas of British Columbia that include old-growth forest; Drax said it used only sawdust and waste wood, according to NRDC’s summary. In August 2024 the energy regulator Ofgem found that Drax had misreported its 2021–2022 Canadian import data, and Drax agreed to pay £25 million, as reported by Express & Star. The payment equals about 0.29% of the £8.72 billion subsidy received since 2012. Drax’s pellet plant in Gloster, Mississippi, received air-pollution fines of $2.5 million in 2020 and $225,000 in 2024.

In Northampton County, North Carolina, a resident wrote in an op-ed published by DeSmog in December 2021 that a pellet plant had brought dust, noise and health problems to a county that is mostly African American and where one fifth of the population lives below the poverty line.

  1. 2012Start of the period in which Drax receives £8.72 bn in UK subsidy (to 2025)
  2. 2018650–800 scientists ask the European Parliament to limit forest biomass to residues and waste; Parliament does not accept
  3. 2020Gloster, Mississippi pellet plant fined $2.5 m for air pollution; a WWF-US director joins Enviva’s board (June)
  4. 2021Drax buys Pinnacle, the largest British Columbia pellet producer; 500+ scientists write to five leaders (February); Northampton County op-ed (December)
  5. 2022BBC Panorama reports on Pinnacle’s logging licences (October)
  6. 2023RED III adopted (April); the WWF-US director leaves Enviva’s board (November)
  7. 2024Mongabay reports Enviva’s bankruptcy (April); Ofgem finding and £25 m payment by Drax (August); Gloster fine of $225,000; Enviva emerges from restructuring (6 December)
  8. 2026Ember reports record 2025 subsidy of £999 m and 14.1 Mt CO₂e emissions (July)

What was said

Claims, in the words of those who made them.

Where accounts differ

Each party's account, side by side, with its source. The record does not settle these points; it shows them.

Is burning wood pellets for power a renewable, low-carbon source?
Researchers
More than 500 scientists

Burning wood initially emits two to three times more carbon per kilowatt-hour than fossil fuels, and the emissions are not counted under the EU rule.

Mongabay
Standard-setters and registries
EU and UK carbon accounting

Biomass has a zero emission factor.

International bodies
IRENA

Defines renewable energy as energy produced sustainably from renewable sources, with bioenergy listed first and no measure of sustainability.

Communities and civil society
WWF Central and Eastern Europe

The revised directive continues to allow the burning of trees for energy.

WWF Central and Eastern Europe
Company or project
Confederation of European Forest Owners

Said the worst provisions were avoided in the RED III negotiations, though implementation could be challenging.

Confederation of European Forest Owners
Do Drax’s pellets come from old-growth forest?
Press and investigations
BBC Panorama (via NRDC)

Reported that Drax’s subsidiary Pinnacle held logging licences in British Columbia areas that include old-growth forest.

NRDC
Company or project
Drax

Said it used only sawdust and waste wood.

NRDC
Was the Drax reporting breach serious?
Government and regulators
Ofgem

Found the company misreported 2021–2022 Canadian import data; described as technical in nature with no intent found (this characterisation is not independently verified).

Express & Star (PA)
Company or project
Drax

Agreed to pay £25 million.

Express & Star (PA)

How it looked

What was shown, beside what was recorded.

Shown

  • Pellets made from residues
    Enviva and Drax, as summarised in the sources reviewed
  • Biomass counted as renewable in official statistics and as a zero emission factor in carbon accounting
    EU and UK rules · Ember

Recorded

  • Ember: Drax received £999 million in subsidy in 2025 and £8.72 billion since 2012; it emitted 14.1 Mt CO₂e in 2025 and burned 7.5 Mt of wood, more than 99% imported and 86.7% from the US and Canada.
  • Ofgem found that Drax misreported 2021–2022 Canadian import data; Drax agreed to pay £25 million (August 2024).
  • Gloster, Mississippi pellet plant: air-pollution fines of $2.5 million (2020) and $225,000 (2024).
  • Mongabay: Enviva went bankrupt in April 2024; allegations that whole trees were used; it had supplied about 15% of Drax’s fuel.
  • Enviva emerged from the restructuring in December 2024, with about $1.0 billion of debt eliminated and $250 million of new capital, and with sales based on long-term contracts in Japan, the UK and the EU.
  • Jeffrey Ubben, a director of WWF-US, served on Enviva’s board from June 2020 to November 2023.
  • David Leuschen, a director of Conservation International, is listed as a past Enviva board member.
  • FSC suspended the Vietnamese pellet producer AVP after a false FSC claim.
  • The International Renewable Energy Agency defines renewable energy as energy produced “sustainably” from renewable sources and lists bioenergy first; the definition gives no measure of sustainability.

Who gained

Money that reached nature, beside money that stayed elsewhere.

Reached nature or the ground

Not published
No figure published.

Gained elsewhere

£8.7bn
Drax: UK subsidy received£8.7bn
Ember, July 2026; £999 million of it in 2025. Funded by UK electricity bill payers, about £13 per household per year in 2025.
Currency: GBP · Window: 2012–2025. All figures cover the same period. * Estimate built from cited figures.

Responses on record

  • Drax (October 2022): Said it used only sawdust and waste wood (reported as its response to the BBC Panorama programme; not independently verified). · NRDC
  • Drax (August 2024): Agreed to pay £25 million after Ofgem found it had misreported Canadian import data. · Express & Star (PA)
  • Ofgem (August 2024): Described the breach as technical in nature and found no intent (reported but not independently verified). · Express & Star (PA)
  • Enviva (6 December 2024): Announced its successful emergence from the financial restructuring process. · BusinessWire (Enviva)

In court and with insurers

Every proceeding and every insurer decision on record.

Lawsuits and rulings

  1. 2024-08Settled£25m £25 million (value in millions)
    Ofgem: Drax biomass import-data reporting breach
    Ofgem (Great Britain energy regulator) · Regulatory · Ofgem → Drax

    Ofgem found that Drax misreported its 2021–2022 Canadian import data. Drax agreed to pay £25 million. Express & Star (PA)

  2. 2020; 2024Claimant won$2.5m $2.5 million (2020) and $225,000 (2024); value in millions for the 2020 fine
    Gloster, Mississippi pellet plant: air-pollution fines
    Mississippi environmental regulator (not named) · Regulatory · Mississippi regulator → Drax pellet plant, Gloster

    The plant received air-pollution fines of $2.5 million in 2020 and $225,000 in 2024. Mississippi Today

Insurers

No insurer decision on record.

What nature saw

Outcomes measured on the ground, and nature's note.

Nature's report opens this page. Below: further outcomes measured on the ground.

Drax emissions, 2025
14.1 Mt CO₂e
Ember, July 2026; more than four times the second-largest UK source
Forest converted to pellets by Enviva, North Carolina
~60,000 acres a year
Estimate cited in coverage of the February 2021 scientists’ letter
Wood burned by Drax, 2025
7.5 Mt
More than 99% imported; 86.7% from the US and Canada

What we don't know

Undisclosed, unproven, untried: recorded as data.

Nature

  • Not measured Harm to nature: The record holds no measurement of harm to nature.
  • Disputed Is burning wood pellets for power a renewable, low-carbon source?
  • Disputed Do Drax’s pellets come from old-growth forest?

Accounts

  • Disputed Was the Drax reporting breach serious?

Record

  • Disputed Sources differ on how many scientists signed the January 2018 letter to the European Parliament: 650 to 800.
  • Insufficient Reported but not independently verified: that Ofgem described the breach as technical in nature and found no intent, and found no evidence that a 70% sustainability threshold had not been met.
  • Insufficient Reported but not independently verified: a secondary summary attributes to BBC Panorama a figure of more than 40,000 tonnes of wood from old-growth forest taken by Drax in 2023; the figure and its date are unconfirmed.
  • Insufficient Reported but not independently verified: that the Gloster plant later won, on appeal, a classification allowing a higher pollution limit.
  • Insufficient Reported but not independently verified: Ember’s estimate that Drax’s move to biomass with carbon capture and storage would need about £30 billion in additional subsidy.
  • Insufficient Reported but not independently verified: that Drax’s executives were not personally prosecuted.

Did the harm stop?

Not stopped. Drax continued to burn wood pellets and receive subsidy in 2025; Enviva emerged from bankruptcy in December 2024 with long-term customer contracts in Japan, the UK and the EU.

Who paid?

UK electricity bill payers funded the Drax subsidy; Drax’s payment of £25 million to settle the Ofgem finding equals about 0.29% of the subsidy received since 2012.

Sources

Voices on record: ✓ Company or project✓ Government and regulators— Courts✓ Press and investigations✓ Communities and civil society— Researchers

Connected cases

Related matters, and cases linked to this one through the same organisations, with the role each played in both.

Science and environment

Biomass, root-to-shoot ratio, carbon fraction
Biomass is the dry weight of living plants per hectare. The root-to-shoot ratio adds the weight of roots. The carbon fraction is the share of that weight that is carbon, about 47% in tropical forests.
Hectare (ha)
A unit of area equal to 10,000 square metres, about 2.5 acres. 100 hectares make one square kilometre.

Bonds and banking

Liquidation, insolvency, bankruptcy
Legal processes that apply when a company cannot pay its debts; its assets are sold and claims against it may go unpaid.

Institutions

SEC
The US Securities and Exchange Commission, which regulates securities markets and what companies tell investors.

Carbon and conservation finance

Standard-setter and registry
An organisation that writes the rules for carbon credits, approves projects, and records when credits are issued and retired. Such bodies typically charge fees per credit.